Conroy announces change of mind on NBN legislation

Mar 29 2011 / By Jo Wilkes

The communications and broadband minister, Senator Stephen Conroy, has recently announced a change of mind relating to the government’s legislation on the National Broadband Network.

nbn lgo Conroy announces change of mind on NBN legislation

It has been reported that the government has performed something of an about turn with regards to the legislation relating to the National Broadband Network. The federal government is said to have changed its mind on a key component of the legislation by allowing commercial communications companies to lay their own cables.

Under the current legislation relating to the National Broadband Network there were ‘cherry picking’ rules in place, which were designed to protect the company that is building the National Broadband Network, NBN Co, from competition from rivals. However, the communications and broadband minister Stephen Conroy has revealed that this is a part of the legislation that the government has changed its mind about.

Rivals to NBN Co will now be allowed to lay their own cables but the networks will have to be like those of NBN Co. Conroy has also stated that they will have to ensure that they serve small business and residential premises on an “open access, wholesale-only basis”.

In a recent statement the senator stated: “The provisions are fundamental to the government’s policy that NBN Co deliver uniform national wholesale prices, and the ability of NBN Co to cross-subsidise from high-value areas to less profitable areas like most of regional Australia.”

However, Liberal senator Mary Jo Fisher, a member of the communications committee, said that this should have been done earlier, stating: “Not a good move, minister. It’s a real shame the minister has left it to the 11th hour.”

Do you think this is a good move by the government? Let us know with your comments.

Source – Adelaide Now

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